Home RMG News Accord, Alliance want to suppress RMG sector: FM

Accord, Alliance want to suppress RMG sector: FM

Finance minister AMA Muhith on Monday said the Accord and Alliance, two platforms of global brands, probably want to suppress Bangladesh’s RMG sector when the industry has advanced a lot. “The Accord and Alliance had been welcomed to earn the trust of the buyers of the USA and EU countries but today their activities have turned into a slipknot,” he said. Muhith came up with the remarks while addressing a post-budget discussion with the three leading trade bodies of the apparel sector—BGMEA, BKMEA and BTMA—at the finance ministry at the Secretariat. The finance minister said that the Accord and Alliance probably want to suppress the RMG sector of Bangladesh when this industry has advanced a lot in export earning. BGMEA president Atiqul Islam, BKMEA president, AKM Selim Osman MP, BTMA president Tapan Chowdhury and other senior leaders of the organizations were present. The Accord is the representative organisation of the buyers of European Union and Alliance is of the buyers of the North America. The organizations have been working in Bangladesh from after Rana Plaza tragedy regarding the workers safety and fire safety. BGMEA President Atiqul Islam said the way the Accord and Alliance are inspecting the factories is simply unprecedented and there have no such record in any other country. “They are compelling all the factory owners to fulfill their conditions. This is why the expenditure of every factory has increased from Tk 5 crore to 20 crore.  As a result, production cost of the RMG goods continue to increase and they are suggesting the buyers not to buy products from those who are failing to fulfill the conditions,” Atiqul added. The three trade bodies of the apparel sector submitted a five-point demand to the finance minister including  keeping the rate of tax at source unchanged and withdrawal of the proposed 1 percent tax on import of capital machinery.   On their demands, the finance minister said that the government has a soft corner for the RMG sector for keeping contribution in the employment generation. He said all the proposals will be considered actively and decision will be taken in this regard.The minister also called upon the owners to take steps to relocate their factories to the Garment Village at Baushia in Munshiganj district as soon as possible.